SIDBI sanctions Rs 650-crore loan to AU SFB and Jana SFB

Small Industries Development Bank of India (SIDBI) has sanctioned Rs 650 crore to two small finance banks — AU SFB and Jana SFB - to provide funds to finance companies and Micro Finance Institutions (MFIs). 

An amount of Rs 530 crore has already been released to these SFBs. 

The financial assistance has been extended out of the Special Liquidity Facility sanctioned by the Reserve Bank of India. This liquidity line has been provided to SIDBI to meet the challenges being faced by the MSMEs due to the prevailing Covid-19 pandemic situation, SIDBI said in a statement.